Why shouldn’t Japan make its main production sector agriculture?

What will be an ideal response?

Japan shouldn’t center its economy in agriculture because of the scarcity of land in the country. Japan is a very small island relative to land-rich countries like the United States and Australia. Thus, in Japan there is a higher cost to using land for agriculture relative to more land-rich countries. This means that Japan would have to produce agricultural products at a higher cost. Japan benefits by focusing production in a less land-intensive industry and importing its agricultural products from countries like the United States and Australia.

Economics

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Which of the following is a variable in the equation of exchange?

A) real GDP. B) the velocity of money. C) the money supply. D) the price level. E) all of the above.

Economics

Along the portion of the consumption function that lies above the 45-degree line, saving is

A) positive. B) negative. C) equal to zero. D) equal to consumption.

Economics